I’m a Numbers Gal!

IRS to Delay Tax Refunds in 2017

June 17, 2016 — Connie Holt, E.A., ATA, ATP

The IRS has informed tax professionals of a new law that will be in force in 2017 for the filing season for 2016 tax returns. The new law will require the IRS to hold all tax returns that include refunds including Earned Income Tax Credit and Additional Child Tax Credits, until February 15th. This law will be used as a safeguard against identity theft and tax fraud. Those taxpayers that normally file early to get their refund early, will have their refund delayed by the IRS. The IRS will begin issuing the early filing refunds on February 15th. The additional time to process the refunds will assist the IRS in detecting identity theft and potentially preventing tax fraud.